(a) Before renewing an existing license of an adult care
home, the Department shall conduct a compliance history review of the facility
and its principals and affiliates.

(b) In determining whether to renew a license under G.S.
131D-2(b)(6), the Department shall take into consideration at least the
following:

(1) the compliance history of the applicant
facility;

(2) the compliance history of the owners,
principals or affiliates in operating other adult care homes in the state;

(3) the extent to which the conduct of a
related facility is likely to affect the quality of care at the applicant
facility; and

(4) the hardship on residents of the applicant
facility if the license is not renewed.

(c) Pursuant to G.S. 131D-2(b)(1), an adult care home is
not eligible to have its license renewed if any outstanding fines or penalties
imposed by the Department have not been paid; provided, however that if an
appeal is pending the fine or penalty will not be considered imposed until the
appeal is resolved.